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Retailers w/ iBeacons have upper hand this holiday as shoppers embrace location-based offers

The latest stats from Swirl Networks, the company behind a number of beacon deployments at high-profile retailers, shows that shoppers in the US are embracing Bluetooth beacons and along with it Apple’s iBeacon framework for app developers sending location sensitive notifications to users. More specifically, data collected from the company’s beacon deployments in recent months shows that beacons are influencing the way we shop with more than half engaging with the feature and many redeeming beacon offers when making purchases. 

“This holiday season, retailers with beacon marketing capabilities in place will have a distinct advantage over those who do not,” said Hilmi Ozguc, founder and CEO of Swirl. “Proximity marketing has the power to transform the customer experience, increase brand affinity and drive sales uplift. Early adopters are seeing remarkable results and generating highly valuable learnings that they are using to optimize future campaigns. For retailers who haven’t yet deployed beacon marketing programs, it should be a top priority for 2015.”

The report shows that many shoppers haven’t been shy about engaging with iBeacon apps with around 60 percent opening and engaging with beacon-triggered content and roughly 30% redeeming “beacon-triggered offers at the point of purchase.”

Some other stats shared by Swirl today:

Beacon marketing campaigns are influencing shopper behavior:

-73 percent of shoppers surveyed said that beacon-triggered content and offers increased the likelihood to purchase during their store visit

-61 percent said they would do more holiday shopping at stores that delivered mobile content and offers while they shop

-61 percent said they would visit a store with beacon marketing campaigns more often

-60 percent said they would buy more as a result of receiving beacon-triggered marketing messages

The report isn’t exactly unique, but it does show what other early stats on beacon usage show. Earlier this year we noted that one brand was able to increase sales with purchase intent up 20x representing a 500x increase over average mobile ad engagement.

I wrote earlier this month that beacon networks, those that allow app developers, brands, and retailers to all take advantage of single deployment, are proving to be the best way to go for wide adoption of iBeacon app features among users. Imagine some of the stats above are based on retailers that only offer users a single app experience. Retailers opening up the experience to a long list of already in-use apps, as shown by the latest data from comScore’s Mobile Metrix, increases engagement significantly.

Swirl has deployments in a number of notable retailers in the US and Canada including Lord & Taylor, Hudson’s Bay, Urban Outfitters, Alex & Ani, Kenneth Cole and Timberland stores.

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Comments

  1. Ray Nothnagel - 9 years ago

    > The latest stats from Swirl Networks, the company behind a number of beacon deployments at high-profile retailers….

    Oh good. This is bound to be from an unbiased source! I can’t wait to see what shocking science they’ve commissioned!

    > “This holiday season, retailers with beacon marketing capabilities in place will have a distinct advantage over those who do not,” said Hilmi Ozguc, founder and CEO of Swirl.

    You mean to tell me that your researchers have scientifically determined that your service is useful and that I should hire you? I’m shocked, shocked I say!

  2. Great post Jordan! I couldn’t agree more. Beacons, if used right have the potential to improve in-store customer experience like no other technology in recent times has. Here’s a good post on how brands can use beacons this festive season to deliver great customer experience and to generate more revenue: http://blog.beaconstac.com/how-beacon-enabled-apps-is-the-way-to-get-more-customers-this-black-friday/

  3. Great post Jordan! Beacon technology has certainly transformed marketing into precision marketing allowing brands to target customers better. Moreover, customers are also interested in recieving personalised offers. In-store shopping in retail has certainly changed with beacons. There is a similar post on how beacons are being used by brands – http://bit.ly/1QRco2j

  4. Selaseek (@Selaseek) - 8 years ago

    In my opinion, there are some limitations must be keep in mind before including iBeacon or Beacon technology in our business:

    1. To detect visitors, it requires users to pre-install an App on their smartphones.

    2. iBeacons just operate in iPhone 4S ahead with iOS7-8 installed, and consequently, It covers les than 15% of the market.

    3. Not only installed applications are require, but also you must have the Bluethooth on, but in practice, almost no one keeps it switched on continuously.

    4. Its range is just 25 meters and it’s not configurable.

    Consequently, there is a huge barrier to use iBeacon in the store that Seeketing Nodes have successfully overcome. This solution tracks visitors without any registration required, assuring anonymity and reaching about 70% of the total number of visitors at urban locations. It exceed the capabilities of beacons and WIFI Routers (Guest WIFI), allowing the detection of any mobile device (Android, Windows, iOS), even if no app has been previously installed. This are just some of the differences between beacons and Seeketing nodes.

Author

Avatar for Jordan Kahn Jordan Kahn

Jordan writes about all things Apple as Senior Editor of 9to5Mac, & contributes to 9to5Google, 9to5Toys, & Electrek.co. He also co-authors 9to5Mac’s Logic Pros series.